Prologis Inc. (NYSE:PLD) stock rose Wednesday after the industrial real estate giant reported its fourth-quarter fiscal 2025 earnings.
Revenue and Earnings Performance
Rental and other revenue came in at $2.10 billion, falling short of the analyst consensus estimate of $2.148 billion. Total expenses for the quarter rose to $1.40 billion from $1.29 billion in the same period last year.
Operating income increased to $1.63 billion, up from $1.42 billion a year earlier. Core funds from operations (FFO) declined to $1.44 from $1.50 in the prior-year quarter, in line with analyst expectations. Earnings per share improved to $1.49, compared with $1.37 a year ago.
Operating Metrics and Leasing Activity
Prologis reported strong operational metrics, with Owned & Managed Average Occupancy at 95.3% and Prologis Share Average Occupancy at 95.2% at the end of the quarter. Prologis Share of Same Store Property NOI – Cash rose 5.7% year-over-year to $1.43 billion.
The company also recorded a milestone in leasing activity, reporting record lease signings of 228 million square feet in 2025. It also expanded power capacity to support data center growth.
Prologis ended the year with $1.15 billion in cash and equivalents as of December 31, 2025.
Prologis CEO Daniel S. Letter said 2025 marked a record for lease signings, giving the company strong momentum heading into 2026, as customers commit to long-term strategies and Prologis scales an integrated global platform spanning logistics, digital infrastructure and energy.
CFO Timothy D. Arndt added that the company delivered strong fourth-quarter and full-year performance, and said Prologis remains confident in its earnings growth outlook for 2026 and beyond, supported by embedded growth, disciplined capital deployment and superior access to global capital markets.
FY26 Outlook
For fiscal 2026, Prologis guided for core FFO in the range of $6.00 to $6.20, compared with the consensus estimate of $6.13. The company also expects Prologis Share Average Occupancy to range between 94.75% and 95.75%.
PLD Price Action: Prologis shares were trading up 0.73% at $131.76 at the time of publication on Wednesday. The stock is approaching its 52-week high of $134.94, according to Benzinga Pro data.
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